Issue of shares to director to comply with a covenant in loan agreement with bank couldn't be taxed u/s 56(2)(vii)

IT : Where transaction of issue of shares to assessee i.e Director and Promoter of company 'D', was carried out to comply with a covenant in loan agreement with bank to fund acquisition of business by subsidiary of company 'D' in USA, such a bona fide business transaction could not be taxed under section 56(2)(vii) especially when there was not even a whisper about money laundering by Assessing Officer in assessment order

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